TEMPO.CO, Jakarta - PT Indo Premier Sekuritas assesses that the Composite Stock Price Index (IHSG) is currently in a bearish trend. IHSG recorded a significant correction of 4 percent in the last week or during the trading period of March 17-21, 2025. At the end of trading on Friday, March 21, 2025, IHSG stood at 6,258.179.

Moreover, IHSG plummeted by more than 5 percent at the end of Tuesday's trading first session, March 18, 2025, which triggered a trading halt for 30 minutes by the Indonesia Stock Exchange (IDX).

Analysts from PT Indo Premier Sekuritas urge market participants to observe the support level of IHSG at 6,500, which is deemed to have been breached and is now moving towards the psychological level of 6,000. "IHSG is confirmed to be in bearish territory as it has fallen more than 20 percent from its peak on September 19," said Community & Retail Equity Analyst Lead of PT Indo Premier Sekuritas Angga Septianus in an official statement on Monday, March 24, 2025.

Angga mentioned that a sharp drop in the IDX Technology sector influenced IHSG's decline last week, reflected in the sharp fall of PT DCI Indonesia Tbk. (DCII) shares, which have a significant weighting. The sharp fall in PT Aspirasi Hidup Indonesia Tbk. (ACES) and PT MNC Digital Entertainment Tbk. (MSIN) shares also contributed to the decline in the IDX Cyclical sector. "Tragically, there was no sector that was green or positive in the past week," wrote Angga in his analysis.

Regarding the market potential in the last week before the long holidays of Nyepi and Eid al-Fitr, Angga stated that there are two sentiments that market participants need to observe. First, data on Personal Consumption Expenditures (PCE) inflation in the United States. Angga emphasized that the market is focused on the U.S. PCE inflation data, which will be released next Friday and is expected to align with the 2 percent inflation target.

Second, the rupiah's exchange rate against the US dollar is still under pressure as foreign selling activities in the stock and bond markets continue. Additionally, The risk of further rupiah depreciation may arise from foreign repatriation risks following the receipt of dividends from dividend-paying issuers, particularly banks.

However, Angga said there is minimal sentiment in the last week before the holidays. Here are the recommendations from PT Indo Premier Sekuritas for this week's trading.

1. Buy on Pullback PT AKR Corporindo Tbk. (AKRA)

Angga stated that the price of oil has the potential to strengthen as OPEC+ or the Organization of the Petroleum Exporting Countries and its allies plan to cut production to support prices and maintain global supply. AKRA also has the potential to be bolstered by the sentiment of customer migration from Pertamina to AKRA gas stations.

2. Buy on Breakout PT Adaro Minerals Indonesia Tbk. (ADMR)

ADMR's metallurgical coal production volume reached 6.63 million tons in 2024, while sales reached 5.62 million tons, each increasing by 30 percent and 26 percent from 2023, respectively. "Technically, the price is holding above the medium-term uptrend MA10 and MA20," said Angga.

3. Buy United Tractors Tbk. (UNTR)

In the business development report, UNTR's net revenue from gold and other mineral businesses increased by 90 percent to Rp9.9 trillion. This was mainly due to the strengthening of gold selling prices.

*Disclaimer: This news is the result of the analysis by PT Indo Premier Sekuritas (IPOT). This news is not intended to encourage readers to buy or sell stocks. Investment decisions are entirely in the hands of the readers.

Editor's Choice: Prabowo Highlights Food Security Amid Stock Market Volatility

Click here to get the latest news updates from Tempo on Google News